What is a Rent Conversion Calculator?
A rent conversion calculator is a tool that helps you determine the appropriate amount when converting a Jeonse (lump-sum deposit) to monthly rent, or vice versa. It applies the conversion rate according to the Korean Housing Lease Protection Act to calculate fair conversion amounts.
It is useful when converting from Jeonse to semi-monthly rent (ban-jeonse), adjusting deposit ratios, or comparing Jeonse and monthly rent conditions for a new home. The legal conversion rate based on the Bank of Korea base rate (default 4.5%) is applied, and you can also modify the rate manually.
Key Features
Two-Way Conversion
Supports both Jeonse→Monthly and Monthly→Jeonse conversions for instant calculations in any scenario.
Legal Conversion Rate
Provides the legal conversion rate (Bank of Korea base rate + 2% surcharge) as the default value.
Real-Time Calculation
Results are displayed instantly as you enter deposit, rent, and conversion rate values.
Formula Guide
Provides detailed explanation of the formulas used in rent conversion to help you understand the calculation principles.
How to Use
- Select Conversion Direction — Choose between 'Jeonse→Monthly' or 'Monthly→Jeonse' conversion.
- Enter Amounts — Enter the Jeonse deposit, monthly rent deposit, and monthly rent in KRW.
- Check Conversion Rate — The default rate (4.5%) is applied. You can modify it if needed.
- View Results — Click the calculate button to see the converted monthly rent or Jeonse deposit.
Use Cases
Jeonse to Semi-Monthly Conversion
When a landlord requests conversion from Jeonse to semi-monthly rent, calculate the appropriate monthly rent for fair negotiation.
Comparing Rental Properties
Convert multiple properties with different deposit-to-rent ratios into Jeonse equivalents to compare actual costs.
Lease Renewal
Calculate the appropriate monthly rent increase based on the conversion rate during lease renewal for reasonable negotiation.
Jeonse vs Monthly Rent Decision
Compare Jeonse loan interest with monthly rent to determine which rental method is more advantageous.
Frequently Asked Questions
How is the conversion rate determined?
The conversion rate is determined by the Bank of Korea base rate plus a surcharge rate set by presidential decree (currently 2%), according to the Enforcement Decree of the Housing Lease Protection Act. As of 2024, it is approximately 4.5% and may change with base rate adjustments.
Is there a cap on the conversion rate?
Yes, under the Housing Lease Protection Act, there is an upper limit on the conversion rate. Landlords cannot charge monthly rent exceeding the base rate + surcharge (currently 2%). Tenants can request a refund for any excess charges.
What is ban-jeonse (semi-monthly rent)?
Ban-jeonse is a hybrid between Jeonse and monthly rent, where you pay a certain deposit and monthly rent for the remaining amount. It can be seen as converting part of the Jeonse deposit into monthly rent payments.
Can the calculation differ from the actual contract?
This calculator uses the legal conversion rate. Actual contracts may vary based on landlord-tenant negotiation, market conditions, and local pricing. Please use the results as a reference.
What is Jeonse deposit return insurance?
Jeonse deposit return insurance protects tenants in case the landlord cannot return the deposit. It can be purchased from HUG, SGI Seoul Guarantee, or HF Korea Housing Finance Corporation. It is recommended when converting between rent types to protect your deposit.
Privacy Notice
This rent conversion calculator processes all calculations in your browser. No information such as amounts or conversion rates is sent to any server. Use it with confidence.